2019 Credit One Credit Card Review – WalletHub Editors

Jan 8, 2019 | John S Kiernan, Senior Writer & Editor

1

SHARES

This content is not provided or commissioned by any issuer. Opinions expressed here are the author’s alone, not those of an issuer, and have not been reviewed, approved or otherwise endorsed by an issuer.

EDITOR’S RATING

3 / 5

PROS

1% cash back on eligible purchases

Available to people with bad credit

Automatic credit line-increase reviews

CONS

$0-$99 annual fee

High APR

The Verdict: The Credit One Bank® Platinum Visa® for Rebuilding Credit (Credit One Bank is a WalletHub partner) is one of the most popular credit cards for people with bad credit, thanks largely to its position as one of the few unsecured cards that will even approve applicants who are working their way back from damaged standing. In addition to a $300 minimum credit line, Credit One’s Platinum Visa offers rewards and regular credit-limit increases, or at least the potential for both. You’ll earn 1% cash back on gas and groceries as long as your account is not delinquent, and though you will be regularly considered for a higher credit limit, you are by no means guaranteed of actually receiving one. It all depends on how responsibly you use the card and how generous Credit One Bank (a WalletHub partner) is feeling.

Unfortunately, for all that the Credit One Bank® Platinum Visa® for Rebuilding Credit gives you, it also takes an awful lot in return. It charges an annual fee that can be anywhere from $0 to $75 the first year (up to $99 thereafter), depending on creditworthiness, thus reducing your initial credit line to as little as $225. It also has an APR of 20.24% - 26.24% (V), based on your credit standing.

With all of that being said, your decision of whether to apply for this card should ultimately rest on your need, or lack thereof, of an emergency loan. If obtaining one is a necessity – to cover the cost of car repairs or medical treatment, for example – Credit One’s Platinum Visa will be one of your top options. But if you don’t need extra spending power, perhaps because credit-building is your top priority, then you’d be better off placing a refundable deposit on a no-annual-fee secured card.

The Highlights

1% Cash Back On Eligible Purchases: You will earn 1% cash back on every $1 that you spend on eligible purchases using the Credit One Bank® Platinum Visa® for Rebuilding Credit, which will be dispersed to you in the form of a monthly statement credit. Although this is the market-average earning rate for a cash-back credit card, that’s actually great as far as a credit card for bad credit is concerned, as most such cards don’t offer rewards at all.The only factor that stands to limit how much you earn is your spending limit. Assuming you’re approved for a $300 credit line and you pay your bill in full on a monthly basis, you’d only be able to earn a maximum of $36 in cash back over the course of a year.

Automatic Credit Line-Increase Reviews: Credit One Bank promises to regularly consider you for a higher credit limit if you get approved for the Platinum Visa as well as to automatically apply the higher limit if you’re deemed worthy of it. That is an obvious incentive when spending power is in high demand, as tends to be the case with unsecured credit cards for bad credit. However, it’s neither something unique to this Credit One Visa nor a guarantee. Most credit-card companies make it a practice to consider customers for higher credit limits; they just don’t always advertise it. What’s more, Credit One does not disclose either the frequency with which cardholders will be evaluated for an increase or the criteria used to make the final determination. This shouldn’t stop you from using your card as responsibly as possible (i.e., always paying your bill on time and maintaining reasonable credit utilization) in hopes of earning an addition to your credit line, but you shouldn’t count on it, either.

The Lowlights

Annual Fee Of Up To $99: Not only does this card’s pricey annual fee promise to consume a healthy portion of your starting credit line, but you’ll also be kept in the dark about how much it will end up costing you until well after you’ve submitted an application. It could be anywhere from $0 to $99, depending on the state of your credit history as well as what credit limit you’re assigned. That’s a wide range, representing 0% to 33% of a $300 spending limit.

High Interest Rate: It figures that you will carry a balance with this card at some point, considering that its unsecured credit line is among its main draws. Unfortunately, financing with this type of plastic also stands to be quite expensive. Balances will accrue interest at a rate of 20.24% - 26.24% (V), based on your credit standing. For context, the average APR among new credit card offers is 19.24%, according to WalletHub’s latest Credit Card Landscape Report, while the average secured credit card charges 18.81%. Oh, and the Credit One Card’s terms and conditions note that although its rate is variable, it cannot exceed 29.90%. It’s not clear whether that should be reassuring or not.

Other Things To Consider

$300 Minimum Credit Line: Credit One doesn’t disclose what the highest possible spending limit is for its Platinum Visa, but you’re assured of getting an initial credit line of at least $300 (and as much as $500) should you get approved. That should give you a sense of whether this card is capable of covering the emergency expenses that perhaps serve as your impetus for contemplating an application.

Free Monthly Credit Score: Credit-score access is extremely beneficial to people with damaged credit, providing a barometer with which to measure improvement. It should not, however, be the reason that you apply for this Credit One card. Many other credit-card companies offer free credit scores, after all, and the one you’ll get from Credit One updates only once per month. In contrast, WalletHub offers free credit scores that are updated on a daily basis. So you could always just use that and make your credit-card choice based on account terms only.

Disclaimer: Editorial and user-generated content is not provided or commissioned by financial institutions. Opinions expressed here are the author’s alone and have not been approved or otherwise endorsed by any financial institution, including those that are WalletHub advertising partners. Our content is intended for informational purposes only, and we encourage everyone to respect our content guidelines. Please keep in mind that it is not a financial institution’s responsibility to ensure all posts and questions are answered.

Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offer’s details page using the designation "Sponsored", where applicable. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.

Community Discussion

Do not apply if you need a credit card for car rentals and hotel stays. $300 does not help. They do not offer credit line increases. Been paying on time for six months and no credit line increase. Its a false. If you wanna spend $99 on anual fees for $300 limit card is bad business.

·

@amurrell21

January 30, 2019

I have had this card since DEC 2017, started out with a credit limit of $500, now I have a credit limit of $1200. they gave me an increase every six months..with a slight fee of $24.50. This card is pretty good to have.

·

@krjanzen7

January 24, 2019

Stay away!! They charge a million fees and can’t explain why!! They don’t even have the technology to reset your password if you get locked out of your account. I asked what the credit protection charge, per month, was for and was told to call the credit protection people. ITS ALL A SCAM!!!

Contrary to your best intentions, CREDIT ONE WILL DESTROY YOUR CREDIT!!

Without going into my back-story, I filed for Chapter 7 back in 2016 and accepted an offer for this card . I understand, based on my status, that I was going to have to pay higher interest and fees, etc in order to rebuild my credit.

Things were going okay for about a year or so. I made regular, on-time payments to my account and rarely even carried a balance. Then, somewhere around July 2017, somebody hacked into my account and purchased over $1000 from TicketMaster and Nike. My account limit was exceeded and I was left unable to pay for a $30 haircut.

I called to report this and after several weeks(!) I thought the charges were removed from my bill (but I now learn [January 2019] that I was given "temporary credit" while they "investigate" the transactions). Immediately after I was hacked, I signed up for 90 days of fraud protection with Experian and a few months later paid the remainder of my balance and closed my account on October 17, 2018.

Fast forward to January 7, 2019 and I get an email from Credit One stating that I have an unpaid balance for the TickerMaster and Nike!!! Turns out the "Fraud Dept" conclusion was "not in [my] favor."

THIS CREDIT CARD COMPANY IS A SCAM!

I am writing this just as I learned of these developments and I'm gathering information as to how to address this moving forward. But, in the mean time, if hard times are what left you few options other than to resort to these high-interest/high-fee cards in order to try and start over...STAY AWAY FROM CREDIT ONE!!

I am not a financial advisor and I have no alternatives to offer, unfortunately, except STAY AWAY!!

I will not complain about Credit One because they helped me to improve my credit. I was approved for a 500 visa credit card limit, i purchased small items and paid off the balance each month, credit one increased my limit 2 times in the past 9 months; now my credit line is 1100 and i was offered a new Mastercard with a 1500 limit (im thinkingabout accepting it). The fees are high and that's understandable. The company is honest about its fees. Everything is upfront. They could improve their customer service and i would prefer to receive all credit line increases in one card. Other than that, I am greatful that they were willing to take a chance with me when other credit cards wouldnt. So if you need to improve your credit score and you dont have the money for a secured card, credit one is a great option.

·

@kacim

September 10, 2018

absolutely stay away from credit one bank!!! i reported a fraud credit card opened with my information and even sent a theft report but this nasty company with their very rude and disrespectful employees keep going behind my back saying it is valid. no one in this company will do anything about this fraud account. ***do not trust credit one bank***

·

@loboelizabeth14

August 25, 2018

WORST CREDIT COMPANY EVER!!!! It has been about 3 month that I am not able to set up online account! Every time I call they say the same thing over and over, even when you speak with a manager they have no clue on what going on ask the same questions every representative say and the worst part is you end up getting hung up when being place on hold. I would not recommend this card company to anyone!

·

@gwoods7

October 28, 2018

This is a scam company that prays upon poor people. Don't be enticed by the lure of a small amount of quick cash. The business model is tantamount to a mafia loan shark. You have oligarchs at head of company who use their money as collateral to lend at unjustifiable and iniquitous rates. This is a foreign operation (India) running out of Las Vegas. Customer service is incompetent and can not understand nor speak good English. Your credit and information is in deep jeopardy with these people as they will falsely and w/o any notice report a late payment of $5 to credit bureaus just to justify charging exorbitant late fees and APR's. They are not a legitimate bank! This is coming from someone who has never missed a payment and does not carry balances. This is a phony bank that offers no adequate resources with regard to accounting. If you want to cancel your account they can only do it over the phone, while yet - they have a website. ( check and see) Its disingenuous to do business in such a intimidating manner. This chicanery is the hallmark of a scam artist...its coercive! They're predators whom entrap you like a mouse with a little bit of cheese, then entrap you with a trigger that springs across your head as you feed. You are their unsuspecting and vulnerable prey. Don't waste your time, money or risk your credit! These people are foreign CROOKS! DON'T GET INVOLVED!!!

This is absolutely the worst company EVER ! I hate to call them, It's always an indiam person that can't do anything right. That can barely speak or understand english. They closed my account just because, I paid with a prepaid card. Made my credit score drop. They put you thru- so much just to pay them. They want you to pay just to pay your bill. I strongly recommend YOU stir clear of this company. Credit One SUCKS ! WORST COMPANY EVERRRRRRR !

So this company is absolutely the worst company I have ever dealt with. So in June I was going to make my payment but I had noticed that there was some charges that I had not done. So I called them right away and told them that I did not do these charges. They told me that they would deactivate the card and they would issue me a new one as well as the investigation team would work on it to find out what happened. So about a month goes by and I never receive my replacement card and I also try to login to my online account to make a payment and it is locked. I called them to let them know that I never received the card and to find out what the status is on the investigation and find out why I cant I login to my account. I get told that they are sending me a new card (again) and the investigation is still underway. Then they tell me that I do not need to make a payment because my account is under investigation and that they will contact me. I asked if this will effect my credit report because I am trying to build it up to buy a home, they said no and not to worry that it will not effect my credit. I asked when I can view my online account and they say with in 24-48 hours it will be unlocked. I try it about a week later and its still locked. Another month goes by and still the same thing..I have not received the new issued card and still have no way of getting into my locked online account and I never receive a phone call about the status of the investigation. And yet again, I call and its the same old song and dance, they say I do not need to make an payment because the account is in investigation still (by the way its been about 60 days by this time) and they will contact me with status updates, they said my online account will be unlocked with in 24-48 hours, and that they will send me a new card. Yea... none of that ever happened. So I have called them one final time today and we are now at 90 days, they have now changed there story that account is still under investigation and that now it takes 90 days for the investigation to be complete. They said they account is still locked and they said that it would be unlocked with in 24-48 hours. Oh and I still never got my new issued card and they couldn't tell me when they sent it out. Then here was the real kicker, they said that my account was has ab OVER DUE PAYMENT!!!!!!!!!! And that I need to make the payment and my payment is late over 30 days and it has now been reflected on my credit report. WTF!!!!!! This is literally the worst company I have dealt with. I had spoken with the manager and that got me no where after explaining the situation that has occurred over the past 3 months. Today I closed the account.

·

@mysunshines4

July 30, 2018

Same thing happened to me. Took along time to get card, but they charged the annual fee right away before I received the card. Then 2 late fees and reported to the credit bureau a 30 late payment without me ever using the card and getting the account set up. Called and the rep said they would correct credit report and refund if I wrote a letter requesting since I wasn't aware they were going to start charging fees before account completely set up. Just got letter back saying they won't honor that. WORST CREDIT CARD COMPANY EVER. NEVER CHARGED ON CARD AND THEY MADE MY CREDIT WORSE. $400 credit limit and charged 25% in an annual fee instantly. DECEPTIVE BUSINESS PRACTICES!!!!! DON'T LET THEM WRECK YOUR CREDIT TOO.

·

@everettbox

July 26, 2018

Oh my god these people are terrible I called them three times asking why I have not received the card over a 2 month span. They have poor English skills. They kept telling me my card was on the way to Florida each time I told them I have never lived in Florida. They asked me to verify my address I said look at my other account I have with them. They would came back and said they would fix it. I was making payments on a card I didn’t have. I finally said enough and canceled the account and closed my other account with them. NEVER USE THEM

Worst customer service ever!!! I have tried to pay my 1st bill online for 2 days..no success.. can't get through to a live representative. Very confusing website! I will pay my bill and cancel the card, not worth the hastle.

I can easily see from the comments exactly why some of these people have poor credit. They don't read. Everything is upfront (almost, I'll get to that) regarding max line of credit, interest and annual fees. If you get this card, pay off the balance monthly, there's no downside except the annual fee. They've raised my limit to $750 and I'm doing just fine with them. If you're not responsible enough to pay off the balance each month, be prepared to get whacked with high interest. With that said, there's one non-disclosed downside: payments. If you want your payment credited quickly, they charge $9.95. If not, you can make a standard payment, but it will take 7 business days to post.

Credit One is a scam. They don't tell you what your credit line or the yearly fee is up front. They send you a card for $500. and take $75. So now you have $425. In debt already. Then the following year its $99. When you call there account manager tells you they just take $8.25 a month for your 2nd year membership. When you tell them to cancel they raise your limit to $600. Big deal they don't take off the membership fee. This is a scam stay clear!

·

Anonymous

August 26, 2017

Just paid your bill on time and things will work out for you, thank you all for putting your trust in me and hope we will a life term relationship.